Real estate thread

nordle

Pigeon
The thing about real estate is that it is "real". It is the only thing I spend money on. To me, not having a property portfolio is worse than not having a pension and stocks.
 

nordle

Pigeon
Feature not a bug. Time is a key element in everything. In the case of real estate, the ideal time horizon is "forever". I will never sell any real estate. My family will inherit it all. If you could quickly buy and sell properties like stocks in a stock market, some descendant of mine might lose the families inheritance on a stupid trade. People see the market tanking and they sell, thinking they will time the market. The rental incomes are forever, you don't sell the golden goose.
 

Eusebius Erasmus

Pelican
Orthodox
Feature not a bug. Time is a key element in everything. In the case of real estate, the ideal time horizon is "forever". I will never sell any real estate. My family will inherit it all. If you could quickly buy and sell properties like stocks in a stock market, some descendant of mine might lose the families inheritance on a stupid trade. People see the market tanking and they sell, thinking they will time the market. The rental incomes are forever, you don't sell the golden goose.
Rent operates on supply and demand like every other market. So good rental streams aren’t guaranteed. You could also get leftist governments imposing tenant-friendly policies such as rent controls. In the West, this is increasingly likely.

Farmland makes more sense to me than residential real estate.
 
"Median" price of anything can be deceiving when looking to identify trends especially in RE since the apex of values is the ultra luxury market which is low volume comparatively. It doesnt take much of a dip in the upper end to skew the median price

This is definitely true. Thank you, @Papaya. I'm a little foggy atm but I believe we're seeing de-acceleration across the board, so my comment was meant to apply here but also be more general.
 
Hah that's what I want too.

That said, 3 hours outside of DC I can find closer to what I want at more reasonable price points, but for the sake of being closer to my parents, I will wait longer to see if there is relief in the market.

I wonder if there is a point that's a bit late to buy a house in terms of the time needed for a proper garden/chicken setup that can actually serve you in a crisis. Even if I have my rural home today, and the supply crisis continues, it would do me no good since I lack skills, and need time to learn.
Why don’t you guys try a grab up a property that has potential before the flip guys do. That house was renovated nicely but simply. Vinyl siding and floors and Home Depot pre built cabinets... Everything he did there can be learned pretty easily and completed with a mitre saw, drill and a couple air guns/air compressor. You could get away with less tools than that if you wanted to... then you get to make the 80 grand if you decide to sell.
 
Thinking of buying a single/multi family home in the NJ area with easy commute to NYC. It's crazy how expensive properties have become, they have appreciated 100% in the last 2 years. I would like to purchase a single family home for myself for now (and use it for family hoping I have one soon) and rent out another unit if mult family home and earn some income. Any idea on where I should purchase? CT/LI or NY will better? Thanks!
 

Gimlet

Kingfisher
Zillow is getting out of the home flipping business and are listing the homes they own at a discount. Perhaps this is an opportunity for those looking.


 
Zillow is getting out of the home flipping business and are listing the homes they own at a discount. Perhaps this is an opportunity for those looking.



@Roosh, don't miss the news surrounding this one. BIG news. Not all is going so well in real-estate-land like officials would like us to believe.
 

Gimlet

Kingfisher
@Roosh, don't miss the news surrounding this one. BIG news. Not all is going so well in real-estate-land like officials would like us to believe.
I should say I looked at Atlanta for a small place since I have business there. I found a house they bought this year for $355k and they now list for $299k. Don't know if their algorithm was off to begin with or if this is a huge price break. Either way if zillow lists in your area, take a look.

 
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Parmesan

Woodpecker
Rent operates on supply and demand like every other market. So good rental streams aren’t guaranteed. You could also get leftist governments imposing tenant-friendly policies such as rent controls. In the West, this is increasingly likely.

Farmland makes more sense to me than residential real estate.
Property taxation also put into question how much you actually “own” your land. These obviously vary widely from place to place, but they can be extreme in many cases, not to mention in some cases you could face extra taxes over things like sewer upgrades, which you may have limited say over.

I don’t think real estate is a bad investment, but too many Americans take it as gospel. For example, a friend of mine gave up his rental property and personal mortgage in favor of a high end apartment rental. The time and hassles he saved allowed him to focus more on his business, which turned into a WAY more valuable asset. That’s obviously a unique case, but the point is you need to find your optimal balance, and ownership isn’t necessarily for everyone.
 

Hypno

Crow
Just went under contract to sell a house for 20% higher than last year, and 5% higher than any other sale ever in my neighborhood.

I would say the price increases are slowing but prices are still strong because there is not much supply. Interest rates are close to 3.25%, up from 2.75% less than a year ago, so that explains why things are stalling. But it also means there is room for rates to fall again.

The lack of supply is particularly acute in places like Miami where builable land is constrained by water or the Everglades, or NYC suburbs where proximity to jobs in NYC is a key determinant of price.

In my case its a large house with a large yard within a reasonable commute of jobs - everything else comparable was much higher.

In my area, most of the new construction is townhomes priced at over $200 sft while you can get a 10-20 year old house that is larger for about $150 sft.

As for future prospects, I think this era is like the 70s. Inflation will run hot for 5-10 years. Prices now are going to look like a joke in a few years. And I'm putting my money where my mouth is. I bought a very large - much larger than I need - house that I am fixing up. Its large enough for me to live there while I update it, so its a no-brainer to own rather than pay rent. I was able to buy it for 10% down, and the zillow estimate for it is up $125K in the 11 months since I bought it.

There are some valid points above about the disadvantages of real estate. But there are two key advantages in my view. First, you can buy it with a lot of leverage. The typical 20% downpayment means 5-1 leverage, or you are controlling 5 times as much value as the amount invested. In my case, I'm controlling 10 times. This is what you want if prices are going up. Second, to the extent you have a guaranteed tenant - in my case I'm living in it myself - you reduce most of the risk of that leverage. So while leverage can be a dangerous game, its much less risky if you are the tenant.
 

Rogue Statistician

Robin
Orthodox Inquirer
So how do you think the Globalists are going to get current homeowners out of their homes so they wind up owning nothing? Will it be as simple as raising property taxes? If so, why haven't they already done that to force owners to sell?
You're thinking about this incorrectly.

The Globalists don't care about current homeowners. They are focused exclusively on ensuring the children of these homeowners do not ever inhabit the properties. How will they achieve this? Simple.....

1. Reformulate the tax code in the states they control. Specifically estate taxes, since they almost exclusively target European families.

2. Internal migration from communist states to non communist states inflates prices. Example: In my hometown, a small town in FL. The only new construction are 450-550k homes. My family took a low 200s mortgage out at the peak pre-recession bubble. The same home was just sold in the low 400s. Wages in my hometown have decreased over the last decade, while property has doubled, with considerable inflation in the last 2 years as companies like Progress Residential move in and conspire to create price floors.

3. Continue the process of 3rd world immigration into the country. Which is the single greatest 1-2 punch ever discovered as it reduces wages for the native populace and imports a permanent class of people in need of subsidy.

This process is entirely nested and self sufficient, #1 causes #2, #2 leaves space in the commie hell holes to be filled by #3, which in turn causes more #1. This process continues in perpetuity until demographic realities result in wholesale collapse.

Get enough #3 and you don't even have to play this charade anymore, you can just seize the property with your orc army like they are currently doing in South Africa.
 
So how do you think the Globalists are going to get current homeowners out of their homes so they wind up owning nothing?

From what I'm seeing people are being forced to sell because they need the cash or are blinded by the dollar signs. Then they can't find another home because there's not enough inventory so they're forced to start renting or downgrade to poverty level in a travel trailer. I'm seeing this enough to think it's becoming widespread.
 
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